Concepts of Entrepreneurship, Intrapreneurship & Innovation

Entrepreneurship

When we hear the word ‘Entrepreneurship’ then we imagine big businesses like Tata, Bajaj, Reliance etc. Are these big businessmen considered as Entrepreneurs? Or the small business owners, start-up founders called as Entrepreneurs?

We are going to see the answers in this blog post. So, stay tuned.

The word Entrepreneur is a French word. Meaning of this word is to undertake. Entrepreneur is a person who bears the risk of starting & running a business. Entrepreneur is a person who initiates starting a business, run the business & deliver value to customers with his/her enterprise.

Now,

What are the qualities/Characteristics of an Entrepreneur?

  • Entrepreneur takes an idea & make it into reality.

  • Entrepreneur take risk. Risk of time, money etc.

  • Entrepreneur is optimistic about the future.

  • Entrepreneurs are innovator. They invent new product, service, process or method.

  • Entrepreneur enjoy freedom & use it betterment of their customers & ultimately for the society.

  • Entrepreneur have strong focus on anything they are doing.

  • Entrepreneur is confident, optimistic & love facing challenges in life & business.

  • Entrepreneurs take decisions independently.

There are various types of entrepreneurs. We will see some of it.

  1. Industrial Entrepreneurs: They are into business of manufacturing of products. E.g. Manufacturing of automobile parts.

  2. Trading Entrepreneurs: They are into business of buying & selling of product or services. E.g. Traders of Houses.

  3. Imitative Entrepreneurs: These types of businesses copy other successful businesses & run the business similarly.

  4. Drone Entrepreneurs: These types of entrepreneurs don’t like to change the style of business they are doing. They don’t involve innovation. They just want to be like how they are.

  5. Fabian Entrepreneurs: They don’t change until it is very much needed. They adopt change when it is very necessary.

What are various functions of Entrepreneurs?

  • Main function of an entrepreneur is to take risk.

  • Second function is to start the enterprise.

  • Third function is to keep eye on internal & external environment.

  • Fourth function is to make arrangement of necessary resources.

  • Fifth function is to deliver product/service to customers.

Concept of Intrapreneurship

Entrepreneurship under any business is called as Intrapreneurship. The development of a product/service in a corporation which is as semi-autonomous business unit is called as Intrapreneurship.

What causes barriers for Intrapreneurship?

  1. Rigid nature of big corporations.

  2. Expectations of profit in very short duration.

  3. Lack of entrepreneurial qualities.

  4. Lack of resources required for entrepreneurship.

Innovation

One of the key requirement for entrepreneurship is Innovation.

Innovation is nothing but new ways of doing old tasks. Innovations can be Chemical, mechanical, managerial, technical, institutional, service etc.

According to Schumpter there are five types of innovations.

  1. Introduction of new & good quality product.

  2. Introduction of new method of production.

  3. Introduction of a new market.

  4. Use of some new sources of supply as raw material.

  5. Making a new organizational form of industry.

Innovation process in Entrepreneurship include following steps.
  1. Research of market

  2. Development of product/service

  3. Production

  4. Marketing of product/service

  5. Use by customer

  6. Feedback by the customer.

We hope, this article must have answered all of your queries regarding entrepreneurship. Ask your queries in comment sections.

Stay tuned for more articles.

Thank you.

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